Lahore High Court Declares Customer Data Property, Misuse May Constitute Criminal Breach of Trust.

The Lahore High Court ruled that customer data stored by banks is property under Pakistani law. This means the dishonest use of such data can be a criminal breach of trust. Justice Tariq Saleem Sheikh also issued bail orders in a SIM‑swap fraud case. The court granted post‑arrest bail to a telecom franchise operator. It denied bail to a private bank employee. The fraud involved duplicate SIM cards made with victims’ CNICs, fingerprints and unauthorized transfers of Rs10.45 million from six customers’ accounts. The judge cited the Prevention of Electronic Crimes Act and the Banking Companies Ordinance, noting that customer data falls under ‘data’ and is treated as property for criminal offences. The bank employee, Muhammad Atif, was found to have disclosed customers’ registered mobile numbers, allowing the SIM swap. Sufficient evidence led the court to dismiss his bail plea. Muhammad Usman, operating the franchise, had insufficient evidence linking him to the fraud, so the court gave him bail with a Rs1 million surety. The ruling clarifies that only employees with control over customer funds or data can be charged under criminal breach of trust, as opposed to those with incidental access. The decision underscores the legal protection of customer information in modern banking.